Access Bank, Nigeria’s Largest Lender, Set Up A $500 Million Senior Unsecured Eurobond

 Access Bank, Nigeria’s Largest Lender, Set Up A $500 Million Senior Unsecured Eurobond

Access bank with highest gross profits in H1, UBA and First bank catching up fast.

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Access Bank announced the pricing of a $500m senior unsecured Eurobond to fund its general banking operations and provide medium-term funding.

Nigerian Exchange Limited and investors were informed in a statement that the bank’s five-year unsecured note (144A/RegS) had been oversubscribed by more than three times at $1.6 billion on its order book.

Listing on the London Stock Exchange with a maturity date of 30 September 2026, the senior Eurobond had a coupon and yield of 6.25% with interest payable semi-annually.

Investors from the United States, Europe, the United Kingdom, the Middle East, Asia, and Africa have expressed interest in the transaction, according to Access Bank. JP Morgan, Barclays Bank, Standard Chartered, and Barclays acted as joint book runners for the transaction. Rand Merchant Bank and Chapel Hill Denham served as financial advisors and also joint book runners.

“We are committed to our vision of becoming Africa’s foremost bank and Africa’s gateway to the rest of the world,” said Dr Herbert Wigwe, Group Managing Director at Access Bank.

The largest bank by assets and customer base in Nigeria previously reported an increase in gross earnings of 13.6% to N450.6 billion from N396.7 billion.

As we noted earlier, Access Bank appeared to have accomplished this feat through aggressively increasing its loan portfolio.

However, commissions and fees, which rose to N58.7 billion from N40.5 billion, had the greatest impact on gross earnings.  The bank appears to be using its asset base to drive revenue growth.

Olumide Adesina

Olumide Adesina a France-born Nigerian, a Certified Investment Trader, with more than a decade of working expertise in Investment and Trading. He is also a reputable author and writer for CoinDesk and FxEmpire.

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